Murli Rajan

The role of exchange and interest risk in equity valuation: A comparative study of international stock markets

Abstract This paper examines the impact of exchange rate fluctuations and interest rate risk on equity valuation in Germany, Japan, the United Kingdom, and the United States. Our estimations indicate significant cross-sectional variations in the currency exposure of U.S. industries and interest rate exposure of Japanese industries. Exchange risk is priced in the United States for the overall period, and in the Japanese and the U.K. markets during the second subperiod. Interest rate risk is not priced in any of the markets during the overall sample period.

The State of Online Retailing.

Dimensions of critical factors that impact online retailing (e‐quality) are synthesized from the literature and organized along the four phases of a consumer’s online shopping experience: encountering the online retailer’s home page, selecting a product from the online catalog, completing the order form and accessing customer service and support. Using a random sample of 55 online retailers, the study benchmarks real online transactions against these e‐quality dimensions. Findings suggest several areas that e‐retailers should target for improvement. These areas include increasing the speed of home page loading, providing the ability to translate into multiple languages, enhancing the capabilities of search engines, displaying security policies more conspicuously, offering multiple payment options, and reducing the minimum number of clicks to complete a transaction. The final phase of the online shopping experience, customer service and support, seems to offer the most room for improvement in the areas of instant automated merchant notification of orders and on time delivery.

Perceived Quality of Online Shopping: Does Gender Make a Difference?

ABSTRACT Data from a sample of U.S. consumers are examined for gender-based differences in perceptions about factors affecting the perceived quality of online retailers. Seven electronic retailing (e-tailing) quality dimensions (reliability, accessibility, ordering services, convenience, product content, assurance, and credibility) are derived empirically using factor analysis. We find that women place significantly more importance on assurance than do men. This dimension, dealing with privacy and security, is closely related to trust. We find no gender-based differences in the frequency of online browsing or purchasing, but do find differences in the types of products women and men prefer to buy online.

Payoff to ISO 9000 Registration

This study examines the linkage between attaining ISO 9000 registration and stock performance. Our empirical findings suggest that investing in ISO 9000 companies can result in significant gains as compared to a similar investment in the S&P 500 index. For example, an initial investment of

A Study of RMBS Litigation Cases of Six Major U.S. Banks

100,000 in ISO 9000 companies at the beginning of February 1990 would have grown to

Explaining Recent Modifications to the Treatment and Use of Repurchase Transactions

814,335 by January 2000. A similar investment in the S&P 500 market index would have grown to

A Joint Test of Market Segmentation and Exchange Risk Factor in International Capital Market

423,745. Over different holding periods the ISO 9000 portfolio still outperforms the S&P 500, and in many cases at a lower level of risk relative to the S&P 500 market index.

An examination of the impact of country risk on the international portfolio selection decision

Prior to the financial crisis of 2008–2009, banks engaged in activities related to mortgages and mortgage-backed securities that caused financial losses to investors. This resulted in a wave of residential mortgage-backed securities (RMBS) litigation. Investors and U.S. government entities filed hundreds of lawsuits in federal court in the years during and after the credit crisis. In this research, the authors consider 43 settlements of RMBS litigation pertaining to major U.S. banks. First, they provide a chronology of major events in the history of RMBS litigation. Second, using a unique dataset, they quantify the impact and involvement of such litigation on major U.S. banks, U.S. government agencies, and other entities. There are two important findings: U.S. banks were not equally impacted, and RMBS settlements were not equally distributed among the various plaintiffs. Third, the authors provide a breakdown of the litigation by year of settlement. They show that litigation settlement activity increased in 2013 and 2014 but declined during the period 2014–2016.

What do online customers value

The research outlined in this article considers recent events that have transpired in the repurchase transaction market. In the United States, the Financial Accounting Standards Board (FASB) has changed the accounting treatment of repurchase transactions. Across the globe, regulators have changed the treatment and capital required for financial institutions to participate in repurchase transactions. The intended effect is clear: new rules treat repurchase agreements as debt and require participating institutions to provide additional financial statement disclosures about repurchase agreement activities. What impact will the stricter rules have on the repurchase transaction market? Federal Reserve data on the repurchase transaction market suggest that the recent changes have decreased repurchase market activity. Remaining questions for practitioners and theoreticians might include the effect that a smaller repo market might have on other credit markets as well as the financial markets as a whole.